Commissioner of Income Tax vs Kakkar Complex Steels P. Ltd.

N. K. Sud, J.—At the instance of the Revenue, the Income Tax Appellate Tribunal, Amritsar Bench, Amritsar, has referred the following question of law arising out of its order dated October 24, 1986, relating to the assessment year 1981-82 for the opinion of this court :

"Whether, on the facts and in the circumstances of the case, the Tribunal is right in law in upholding the Commissioner of Income Tax (Appeals) finding that electric furnace comes under the category of ''machine tools'' and is entitled to depreciation at 15 per cent. ?"

Counsel for the appellant fairly points out that in the assessment year 1980-81 the Revenue''s request for making a reference to this court u/s 256(1) of the Income Tax Act, 1961 (for short "the Act"), for the identical question was declined. This court also dismissed the Revenue''s petition u/s 256(2) of the Act in I. T. C. No. 45 of 1984 (CIT v. Kakkar Complex Steels (P.) Ltd.), decided on August 25, 1988. It has not been shown that the aforesaid order of this court has been reversed.

In view of the above, the question is answered in the affirmative, i.e., in favour of the assessee and against the Revenue. No costs.